What You Need to Know About Container Shipping Investment

One of the most underrated investment opportunities involve shipping containers. Most people are hesitant to get into the business primarily because of the very laidback regulations surrounding it. Truth is, it can be a very profitable business opportunity.

Basically, this kind of investment allows you to invest in a shipping container where you get to purchase containers then lease them to shipping companies. Every time that your container is utilised, you get to make money. Since shipping is a big business itself, the return on your investment will also be significant.

Benefits of Shipping Container Investment

There are actually a lot of things that you can gain from this form of investment with davenport laroche container shipping. The significant return is one. In fact if the contract is fixed, you can even get as much as a 10% increase in a year, while you get a 20% increase for non-fixed rates. Due to the global demand of the shipping industry, you’ll be assured that you will never lose a market. The need and demand for shipping continues to escalate, making shipping container investment a solid and long-term one.

Container ships also have a relatively shorter unloading and loading time, giving it a significantly shorter turnaround time, too. With this short period, the shipping costs are also paid lower than usual. It’s a win-win situation for both the shipping company and the shipper.

A shipping container has a life span of more than 20 years and they require minimal maintenance. They’re also low in technological use as there is minimal to no damage caused when loading and unloading. When it’s finally time for you to let go of a shipping container, the residual value is also higher due to the nickel content. Besides you can always start with one container and buy more in the future.

Risks of Shipping Container Investment

Just like any other form of investment out there, shipping container investment also involve risks and challenges. There might be a few issues on liquidity especially when you need to resell it in the future. The returns, although relatively higher than usual, may not be guaranteed for the most part. But of course, this happens to basically a lot of investment types. Looking for reliable brokers can be pretty difficult, too.

The key here is to always verify the shipping containers by inspecting them yourself. Talk to your broker in person. It’s always a good idea to validate your investments.